Exam 4: Getting Your E-Business Off the Ground

An entrepreneur must be prepared to invest his or her own cash in a startup e-business in addition to sweat equity.

VC firms raise hundreds of millions of dollars in funding for new businesses from sources such as:

One of the primary advantages of joining a business incubator portfolio of companies is the ability to share ideas and discuss startup problems with other entrepreneurs whose companies are also in the portfolio.

After tapping into his or her friends and family network, the next step an entrepreneur might take in seeking startup funding is to approach:

Finding unique and inventive ways to acquire resources for a startup is a form of self-funding called:

Some high-tech companies invest in technology startups as a way to:

_______________investors include friends, family members, and angel investors.

A(n)_______________is a professionally managed investment company or partnership that provides funding for startup or growth companies in exchange for ownership equity and, often, a seat on the board of directors.

Describe non-profit and commercial business incubators and discuss the advantages and disadvantages to a startup business of joining a business incubator's portfolio.

A pitch to potential investors should:

An alternative to non-profit or commercial business incubators is self-incubation by joining a group of entrepreneurs whose members share ideas, discuss entrepreneurial problems, and generally support each other's businesses.

The term_______________investor originally meant a wealthy investor who swooped down and saved a Broadway theatrical production when it was in financial trouble.

Describe how an entrepreneur might secure funding for his or her startup from personal sources, informal investors, and professional investment firms.

Commercial business incubators who, during the dot.com boom of the late 1990s, focused on developing e-business startups that could be spun out on their own within three to twelve months were sometimes called:

Many_______________focus their investments in a specific industry, such as technology or energy.

Professional investors in the U.S. contribute more money for startups and growing businesses than informal investors.

A quick one- or two-minute explanation of a new e-business idea is often called a(n):

If an entrepreneur uses a(n)_______________presentation during a pitch to investors, he or she must remember to bring a laptop, projector, extra projector bulb, and an extra copy of the presentation to the meeting.

An angel investor is likely to:

Which of the following issues reflects the downside of accepting startup funds from family members and friends?